Hong Kong Shares priced in bubble zone

Hengten Net ( Stock No. 00136.HK ) : the share price closed at $0.64 , up 29% from yesterday's closing at $0.495.

The Market Cap at end of today's trading session was $47 Billion , gaining $10 Billion just for being included in the MCSI Index ..

^^Today Hengten back to HK$0.29, for HKD21.6b market cap. Those who believe in efficient or perfect markets doesn't go out often.

Thought I should just scribble down that last Year's HK IPO "Jaw-Drop award" probably goes to Luk Hing Entertainment 8052.hk

Issued at HKD0.21 and closed first day at HKD4.20, up 20X. Closed second day at HKD1.25, down -70% from previous close, but still up 6X from IPO price. Now trading HKD1.33, HKD2.4b market cap for a HKD125.5m FY2015 revenue, HKD11.6m income, making it 207XPE15.

Nope there's no typo there. It's times like this that I think SGX is not that bad (Ugly contest)

Other contenders are KW Nelson (8411.hk), CMon (8278.hk), Altus (8149.hk), Goal Forward (8240.hk) but they have come back to planet earth

But the HK IPO "Bubble Award" probably go to Luen Wong group (8217.hk) issued at HKD0.26 closed today HKD24.95 for HKD31b market at HKD10m FY16 profit, making a PE of 3100

OOH Holdings (8091.hk) and PF Group (8221.hk) probably are trying for the 2017 awards.

(17-01-2017, 05:41 PM)specuvestor Wrote: ^^Today Hengten back to HK$0.29, for HKD21.6b market cap. Those who believe in efficient or perfect markets doesn't go out often.

Thought I should just scribble down that last Year's HK IPO "Jaw-Drop award" probably goes to Luk Hing Entertainment 8052.hk

Issued at HKD0.21 and closed first day at HKD4.20, up 20X. Closed second day at HKD1.25, down -70% from previous close, but still up 6X from IPO price. Now trading HKD1.33, HKD2.4b market cap for a HKD125.5m FY2015 revenue, HKD11.6m income, making it 207XPE15.

Nope there's no typo there. It's times like this that I think SGX is not that bad (Ugly contest)

Other contenders are KW Nelson (8411.hk), CMon (8278.hk), Altus (8149.hk), Goal Forward (8240.hk) but they have come back to planet earth

But the HK IPO "Bubble Award" probably go to Luen Wong group (8217.hk) issued at HKD0.26 closed today HKD24.95 for HKD31b market at HKD10m FY16 profit, making a PE of 3100

OOH Holdings (8091.hk) and PF Group (8221.hk) probably are trying for the 2017 awards.

looks very like rampant price manipulation. With things like this happening it makes one wonder if there is any integrity at all in their financial system. Really like stock market == casino loh. get the IPO share is like kena JACKPOT.

Nothing new. Just check out David Webb webb-site.com even more examples. And it is usually the same method and same gangs

HK whole day has this kind of bubbles.

(17-01-2017, 06:05 PM)opmi Wrote: Nothing new. Just check out David Webb webb-site.com even more examples. And it is usually the same method and same gangs

HK whole day has this kind of bubbles.

good one "same method same gangs", looks like the HK Triads have found a new avenue to make a "killing" on the IPO scene ROFL....

and no regulatory authority looking into this? :O

reminds me of a show...

https://www.youtube.com/watch?v=EpAFkeEs...Kc&index=7

i tell myself try not have anything to do with CHINA unless i have learned be one of them.

Even some people of HK try not to have anything to do with CHINA - Especially on food.

Of late, CNA reported up to 50 factories manufacture faked foods of some well known brands.

Maggi is one.

By now if you shop at NTUC, you can hardly find made-in-CHINA sauces, peanut butter, etc.....

For me i steer clear of them since a HK ex-working colleague told me not to buy any made-in-China food products.

Still dare to subscribe to CHINA's IPOs?

As it is it never easy to make any money even in Singapore's IPO.

In fact almost all IPO any where.

Don't forget IPO is "It's Probably Overpriced" 9 times out of ten times, anywhere.

Yet Alamak!

i did subscribe to Singapore IPOs.

Temperament, is it due to the punter in u?

(18-01-2017, 05:15 PM)brattzz Wrote: Temperament, is it due to the punter in u?

No.

If i think this IPO is not for longer term holding, i won't subscribe.

In fact i rarely subscribe for IPOs  for stagging.

But i do try to guage whether there is any chance for the stags.

No chance, do you think i will subscribe?

No more big POP at IPOs??

SFC and SEHK issue joint statement on GEM initial public offerings
20 Jan 2017

The Securities and Futures Commission (SFC) and The Stock Exchange of Hong Kong Limited (SEHK or the Exchange), a wholly-owned subsidiary of Hong Kong Exchanges and Clearing Limited (HKEX), today issued a joint statement regarding the price volatility of stocks listed on the Growth Enterprise Market (GEM). The SFC and the Exchange consider that some market practices may not enable an orderly, informed and efficient market for such securities to develop.
The SFC also issued a guideline to provide guidance to sponsors, underwriters and placing agents on the standards of conduct that is expected of them in the listing and placing of GEM initial public offering (IPO) stocks.
New applicants seeking to list on GEM should ensure compliance with all relevant GEM Listing Rules including ensuring that in relation to their securities for which listing is sought the conditions exist for an open market as well as orderly, informed and fair trading to develop at the time of listing.

The SFC or the Exchange will, where appropriate, take action against applicants, sponsors, underwriters or placing agents who fail to have appropriate policies and procedures in place to ensure the placing is conducted in a fair and orderly manner.
"The GEM Listing Rules and the SFC’s Code of Conduct contain requirements designed to ensure the integrity, quality, transparency and fairness of our markets," said Mr Brian Ho, the SFC’s Executive Director of Corporate Finance. "The joint statement and the guideline are directed at applicants, sponsors, underwriters and placing agents, all of whom have vital roles to play in upholding the quality of our listing market."

"Sponsors, underwriters and placing agents all play an important role in the listing and placing of GEM IPO stocks. Sponsors should advise the new applicant on the overall strategy and allocation basis to achieve an open market and an adequate spread of shareholders, and placing agents should put in place appropriate policies and procedures to avoid any undue concentration of shareholding," said Ms Julia Leung, the SFC’s Executive Director of Intermediaries Division.
"This joint statement is an initial step to address some of the current concerns with GEM IPO placings while we continue to work on a broader GEM reform," said Mr David Graham, Chief Regulatory Officer and Head of Listing at HKEX. "Meanwhile, the SFC or the Exchange will make enquiries if there are concerns that the holdings of the placing securities are overly concentrated."

Investors are reminded that GEM is a market designed to accommodate companies that involve a higher investment risk than other companies listed on the Exchange. They should be aware of the potential risks of investing in such companies and should make the decision to invest only after due and careful consideration.

End